I have a PC hooked to my TV, but the problem is that there seems to be a bug in iTunes, when I set the font site to be large enough to actually be readable, like so:

I lose the ability to view full screen movies in iTunes, when I switch the movie to full screen, it continues playing (I can hear it) but the display switch back to the iTunes library, rather than the movie.

I verified the resetting the font size fixes this problem, and this is in iTunes 9.2.1.

Comments

Not the answer you're looking for, but I find this with so many apps (mainly non MS apps actually). I run even my dev machines at Medium (125%) and things like Chrome, Skype, etc. lack support for non-standard DPI.

Possibly try older versions of iTunes. I've had various issues crop up with iTunes updates on Windows. I always DL versions of iTunes rather than let it update itself just for reasons like this. Hell, I use iTunes 5 for my MP3 collection.

How about trying to view the movie in "fit to screen". The fit to screen size is the same as full screen. it just doesn't black out the top and bottom. oh and you'll need to set itunes to play videos in a new window not in the itunes window.